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To be legal......if you are operating a business (even out of your home) most states require you to become a agent of the government and collect their sales tax on all sales at the retail level the only exemption is if you sell wholesale to someone who will resale the item at retail and at that point collect the sales tax for the state.

Texas may be different but that's how most states work, the down side is that the state can make you pay the sales tax whither you collected it or not if your caught.

A business accountant in your state could give you more precise info than most people here.

Hope this helps.
 

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thanks Jon, I started out doing this as a hobby, but people began like my work and my husband told me I can't give everything away. Some co-workers encouraged me to do this as a business and I really enjoy this. I don't think I am doing enough to really classify myself as a business yet.
 

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Ruby....I understand I think we all started out that way, so you see that to buy at wholesale you need a state tax id number, but if you do that then you are a business and must collect sales tax/report your sales to the state....it's a catch 22 if you follow me. LOL!

Hope this helps.
 

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LOL, yea I get ya. I plann to some day boom with this, but for now I guess I have to check into getting it all set up for the future. I started out doing just embroidering and alterations. I had a home embroider machine and upgraded to a commerical and added a heat press and here I am. I guess if I want to play I have to pay...LOL
 

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I have my EIN and live in Virginia. When I tried to purchase something in California I was asked for a state re-sale number and I had no clue what it is/was and told them I'm out of state and they sent the goods to me. I think its specific for each state.
 
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